In his latest commentary, Peter Schiff examines the dramatic inflation of the pound sterling since 2008, caused by the loose monetary policy of the Bank of England. Ultimately, Americans should keep an eye on the UK’s deteriorating pound to get an idea of what will happen in the US when the government and the Fed can no longer artificially prop up the dollar.
“As the global currency war intensifies, the majority of attention has been paid to the 17% fall of the Japanese yen against the U.S. dollar over the past few months. The implosion has given cover to the sad performance of another once mighty currency: the British pound sterling. But in many ways the travails of the pound is far more instructive to those pondering the fate of the U.S. currency.
Japan has a unique economic and demographic profile which makes it a poor stalking horse. Newly elected Prime Minister Shinzo Abe and the Bank of Japan have clearly and forcefully committed Japan to a policy of inflation at any cost. Even in a world of serial money printers their plans stand out as exceptional. Britain, on the other hand, is charting a more conventional course to the same destination.”
Read the Full Commentary Here
The Pound Gets Pounded
In his latest commentary, Peter Schiff examines the dramatic inflation of the pound sterling since 2008, caused by the loose monetary policy of the Bank of England. Ultimately, Americans should keep an eye on the UK’s deteriorating pound to get an idea of what will happen in the US when the government and the Fed can no longer artificially prop up the dollar.
Read the Full Commentary Here